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by CONTRACTOR for any reason, including a strike of CONTRACTOR's employees, the <br />notice shall continue in effect with respect to Solid Waste originating thereafter as long as the <br />omission continues. In addition to any other lawful means of effecting reimbursement from the <br />CONTRACTOR, such expenses may be deducted by the CITY from money due or which may <br />become due the CONTRACTOR. In addition, CITY shall be permitted to use, without charge, <br />any of CONTRACTOR's collection vehicles, containers, and other equipment not then in actual <br />use by CONTRACTOR which CITY shall deem necessary to provide collection, Recycling, <br />Yard Waste Diversion and/or disposal services pursuant to this section. The right of the CITY to <br />enter upon and use facilities and equipment as specified herein shall extend for a period of ninety <br />(90) days. <br />(c) Should CONTRACTOR fail to collect, recycle, divert by means of composting, <br />mulching and/or transforming, and/or dispose of Solid Waste in accordance with this Agreement, <br />CONTRACTOR shall be deemed to be in material default in the performance of its obligations <br />of this Agreement. In the event of such a material default, the reasonable time for correction <br />pursuant to Section 35 herein shall be seven (7) days. <br />37. DEFAULT, DAMAGES AND TERMINATION OF AGREEMENT: <br />(a) In the event CONTRACTOR defaults in the performance of any of the <br />obligations, covenants or agreements to be kept, done or performed by it under the terms of this <br />Agreement, or any other applicable Federal, State, or local law or regulation, the CITY shall <br />notify CONTRACTOR in writing of the nature of such default. <br />(b) The Executive Director may, in such written instrument, set a reasonable time <br />within which correction of all such deficiencies is to be made. Unless otherwise specified, a <br />reasonable time for correction shall be thirty (30) days from the receipt by the CONTRACTOR <br />of such written notice. If the CONTRACTOR cannot reasonably correct or remedy the breach <br />within the time set forth in such notice, CONTRACTOR shall still be required to commence to <br />correct or remedy the violation within such time as set forth in the notice and shall be required to <br />diligently achieve such correction or remedy as soon thereafter as possible. <br />(c) The Executive Director shall review the CONTRACTOR's response to the notice <br />of deficiencies and shall either decide the matter and notify the CONTRACTOR of that decision <br />in writing, or, refer the matter to the City Council. A decision or order of the Executive Director <br />shall be final and binding on CONTRACTOR if the CONTRACTOR fails to file a `Notice of <br />Appeal" with the City Clerk within 10 days of receipt of the Executive Director's decision. <br />Within thirty working days of receipt of a Notice of Appeal, the City Clerk shall refer the appeal <br />to the City Council for proceedings in accordance with Chapter three of the Santa Ana Municipal <br />Code. <br />(d) In such case, the City Council may set the matter for hearing. The City Clerk shall <br />give CONTRACTOR written notice of the time and place of the hearing. At the hearing, the City <br />Council shall consider the report of the Executive Director indicating the deficiencies, and shall <br />give the CONTRACTOR a reasonable opportunity to be heard. <br />25P-37 <br />